21.008: Low Income Taxpayer Clinics

21.008

Active

Internal Revenue Service (IRS) [USDT]

April 20, 2022

April 20, 2022

Qualified organizations that are awarded LITC grants are expected to ensure the fairness and integrity of the tax system for taxpayers who are low-income or speak English as a second language (ESL) by providing pro bono representation on their behalf in tax disputes with the IRS, educating them about their rights and responsibilities as taxpayers, and identifying and advocating on issues that impact these taxpayers.

B - Project Grants

A qualified organization may receive a matching grant of up to $100,000 per year for up to a three-year project period. A qualified organization is one that represents low income taxpayers in controversies with the IRS and informs individuals for whom English is a second language (ESL taxpayers) of their taxpayer rights and responsibilities, and does not charge more than a nominal fee for its services (except for reimbursement of actual costs incurred). Examples of qualified organizations include (1) a clinical program at an accredited law, business, or accounting school whose students represent low income taxpayers in tax controversies with the IRS and (2) an organization exempt from tax under IRC section 501(a) whose employees and volunteers represent low income taxpayers in controversies with the IRS and may also make referrals to qualified volunteers to provide representation.

Low-income taxpayers are those with incomes which do not exceed 250 percent of the Federal Poverty Guidelines published annually by the Department of Health and Human Services, or taxpayers for whom English is a second language.

https://sam.gov/fal/9c09a7b69d5d4182ba197e3ded208713/view